Minister: Azerbaijan's FX reserves hit $85.1B in 2025

By the end of 2025, Azerbaijan's total foreign exchange (FX) reserves amounted to $85.1 billion, exceeding external public debt by 17.7 times and equaling 112.1% of annual GDP, Finance Minister Sahil Babayev stated during today's extraordinary session of the Milli Majlis while discussing the draft law on the execution of the 2025 state budget, Report informs.

"Azerbaijan is among the few countries whose foreign exchange reserves exceed GDP. Such a high reserve level is a crucial guarantee of macroeconomic stability, the resilience of the national currency, and the country's ability to meet external financial obligations," he noted.

The minister added that last year Azerbaijan's GDP grew by 1.4% in real terms, reaching 129.1 billion manats (just under $76 billion), with per capita GDP at 12,600 manats (approximately $7,412).

"Thanks to economic diversification and dynamic development of the non-oil sector, real growth of 2.7% was achieved in 2025. The non-oil sector accounted for 72% of GDP, or 92.3 billion manats (approximately $54.3 billion), which is 6.1 billion manats (nearly $3.6 billion) more than in 2024. Non-oil exports rose by 8.1% to $3.6 billion. A surplus balance of payments and close coordination of monetary and fiscal policy helped maintain exchange rate stability. Annual inflation stood at 5.2% in December 2025, with average annual inflation at 5.6%, remaining within the target range," Babayev said.

He also underlined that nominal per capita incomes increased by 7.6%, while average monthly nominal wages rose by 9.3%, significantly outpacing inflation and confirming improvements in social welfare.

Babayev noted that in 2025, the average global market price of Azeri Light crude oil was $71 per barrel, 1.4% higher than the budgeted forecast.